High-asset divorce without a prenup can be costly

On Behalf of | Jan 14, 2019 | High-asset Divorce |

Couples heading to matrimony are sometimes advised by well-meaning friends and family to get a prenup. Some may argue they have no intention of ever divorcing, or one may feel there are not enough assets to make a prenup worthwhile. These are just some of the reasons given by people who do not have prenuptial agreements in  Ohio. However, one’s financial status at the time of a marriage does not preclude the possibility of a high-asset divorce later in life.

Jeff Bezos was one of those who married without having a prenuptial agreement. When he married he had not yet created the company called Amazon. Jeff Bezos is, according to Forbes Magazine, the wealthiest man on the planet. He owns about 16.2 percent of the shares of Amazon with an approximate value of $130 billion. He also owns The Washington Post.

The divorce is taking place in the state of Washington which is a community property state. This essentially means that Mr. Bezos’s wealth will be split in two. Having to split his shares of Amazon in two could have an impact on his control over the company. In addition to the Amazon shares and The Washington Post, the couple reportedly own five homes in the United States and these will also have to be divided evenly between the couple in accordance with Washington law.

Few people can expect to become as wealthy as Jeff Bezos. However, the financial state that a person is in early in life does not usually remain the same and typically one’s financial worth goes up as one gets older in Ohio. A person does not need to have a fortune the size of Jeff Bezos’ to run the risks inherent in a high-asset divorce. A prenup can be a common sense approach to protect both people’s interests when entering into a marriage contract.